Microsoft admits: UK watchdog tough but fair in Activision deal

Microsoft recently praised the British Competition and Markets Authority (CMA) for its "strict but fair" approach regarding the review of Microsoft's Activision Blizzard acquisition. Initially, the CMA blocked the deal, which led to Microsoft arguing that this decision was disadvantageous for the UK and made the EU seem like a more appealing place for businesses. After further discussions, the CMA agreed to the deal on the condition that Microsoft sell certain Activision game cloud gaming rights to Ubisoft. Microsoft's Brad Smith reflected on the matter, expressing that while he wouldn't retract his previous concerns, he would now choose different words to convey his opinion. He acknowledged the stringent standards of the CMA, which pushed Microsoft to modify its acquisition strategy for Activision Blizzard's cloud gaming aspect.

The outcome was that Microsoft agreed to sell certain cloud gaming rights related to Activision games to Ubisoft, allowing the acquisition to proceed while addressing the CMA's concerns about maintaining competition in the cloud gaming market.

Activision Blizzard is known for iconic franchises such as "Call of Duty," "World of Warcraft," and "Overwatch." The acquisition by Microsoft was a significant move in the gaming industry, expected to further boost Microsoft's gaming portfolio and strengthen its position in the competitive cloud gaming market. The deal, initially met with regulatory concerns due to potential anti-competitive risks, underwent rigorous evaluation before being approved with certain conditions.